Ex-Campaign Manager Sues Phyllis Badham

Phyllis Badham, who is trying to unseat 70th District Assemblyman Gil Ferguson in the June primary, was sued Wednesday by her former campaign manager for breach of contract and nonpayment of more than $11,000 in fees and expenses.

Political consultant Robert Kiley filed the lawsuit in Harbor Municipal Court after several weeks of unsuccessful efforts to settle the dispute, said Kiley’s attorney, Ronald E. Isles.

“We certainly tried to settle it,” Isles said. “Bob offered to cut his fee in half.”

Badham, 30, a public relations manager in her first campaign for public office, said she fired Kiley because he wasn’t fulfilling his part of the contract the two signed last February.

“Bob had misrepresented himself as a political consultant,” Badham said. “He wasn’t producing. . . . These are the big leagues, and he’s not ready for the big leagues.”

Said Kiley: “I feel I lived up to my side of the contract.”

Kiley’s contract with Badham called for a $15,000 fee to be paid in several installments, plus expenses and bonuses in the event that Badham won the June election.

Kiley said Badham paid the first $3,000 installment and one $1,500 installment after that but was unable to meet the schedule of remaining payments.

Badham, a moderate Republican trying to oust the staunchly conservative Ferguson (R-Newport Beach), is the daughter of former Rep. Robert Badham. She was initially given at least a fighting chance against Ferguson by some political insiders, but her campaign has been slowed by sluggish fund raising.

In her last campaign disclosure statement filed in March, Badham reported outstanding debts of about $12,500, with a cash balance of $4,200.

Ferguson reported outstanding debts of $54,100 and about $12,000 cash on hand during the same reporting period, during which he was in the midst of a race for the vacant 31st state Senate District seat. That race was won by Assemblyman Frank Hill (R-Whittier).

Kiley, who is now running the campaign of Republican candidate Paul Horcher in the 52nd Assembly District in Los Angeles County, left Badham’s campaign in early April just days after issuing a news release on Badham campaign letterhead announcing his hiring as her strategist and overall manager. The release also said Michael Fiorina, a Beverly Hills attorney, would be Badham’s day-to-day manager.

Badham said she never approved the news release.

According to the lawsuit, Kiley was told April 8 by Fiorina that there was some “bad news. . . . We can no longer afford your services. Money is not coming in as expected. I haven’t even been paid myself. Since your (sic) not willing to work with us on this money thing we just have to let you go.”

Three days later, Kiley received notice from his bank that a $3,000 check issued by Badham on April 6 had been returned because of a stop-payment order from Badham, according to the lawsuit.

“I’m sorry to see Phyllis taking bad advice,” Kiley said. “I feel that without a political strategist and a seasoned staff, they’re going to have a very difficult time pulling this together by June.”